The Foreclosure Report

Dallas/Ft. Worth Foreclosures 'Unhealthy'

The Dallas News reports that defaults are approaching historic levels. "This year's home foreclosure postings in North Texas rose to their highest level since the Texas real estate bust of the 1980s, according to preliminary figures expected to be released today. Foreclosure Listing Service Inc. cited lenient lending standards and the rising cost of living, from higher gasoline prices to rising heating bills, for the increase."

"'The general cost of living is substantially more today than it was a year ago,' said George Roddy. 'What you have to look at is how that affects people's ability to make the payments on their house.'"

"Residential foreclosure postings in the Dallas-Fort Worth area rose 3.5 percent this year to 32,513. Postings rose by 9 percent in Collin County, the area's biggest jump. They increased by 8 percent in Denton and Rockwall Counties, by nearly 5 percent in Tarrant County and by less than 1 percent in Dallas County."

"Foreclosure postings are still well below their 1980s level. There were 15,250 postings in Dallas County this year, compared with roughly 21,000 in 1989, when the county had a smaller population. Postings are still growing in North Texas, in contrast to some other parts of the state such as Austin."

"'The buildup we've seen in foreclosures in the Dallas-Fort Worth area has been consistently unhealthy for the past three or four years,' Roddy said."

posted by Ben Jones @ 4:34 PM